SOURCE: Independence Energy Corp.

June 26, 2012 06:00 ET

Independence Energy Corp. Announces Selection of First Drill Target at Coleman South Lease Joint Development Project in Texas

SEAL BEACH, CA--(Marketwire - Jun 26, 2012) -  Independence Energy Corp. (OTCBB: IDNG) (OTCBB: IDNGD) (the "Company" or "Independence Energy") is pleased to announce that the Company and its partners have selected the first potential drill target at the Coleman South Lease exploration joint development project in Coleman County, Texas. The Coleman South Lease property is located approximately 3/4 mile from the Shields-MEI #105H horizontal well currently being drilled and in which the Company also holds an interest. The Company currently holds a 12.5% working interest in the Coleman South Lease project and holds an option to increase its working interest to 25.0%. 

"The development of the 2,400 acre Coleman South Lease project is expected to generate a significant number of new high-potential drill targets for the Company over the coming months," stated Mr. Gregory C. Rotelli, CEO and President of Independence Energy. "The site of this first potential well was chosen because of its ideal location offset from a prolific historical well in the area and because the well has the potential to target multiple known productive geological formations. We anticipate that it could take up to 50 vertical or 15 horizontal wells to fully exploit the property. We expect to have the drilling start date scheduled very soon for this first of hopefully many new wells."

The first drill location at the Coleman South Lease is planned to be an offset of the D. M. Hankins #1 well which was originally drilled and completed in the Gray Sandstone formation. That well produced 105,542 barrels of oil and 311,832 MCF of gas. The first well is expected to be drilled to vertical depth of approximately 4,350 feet as an Ellenburger formation test. Historically, two wells to the south-southwest were drilled and successfully completed in the Ellenburger formation. The location is also offset by one mile to the east by the Whitley-Jennings Field which has produced over 1,000,000 barrels of oil to date from the Jennings Sand formation. The Company will be expected to finance its portion of the well cost, but that cost has not yet been determined. 

Further updates regarding the Coleman South Lease Joint Development project and other Independence Energy business will be made as additional information becomes available.

About Independence Energy Corp.

Independence Energy Corp. is an oil and gas exploration and development company focused on projects in the United States. Independence Energy is seeking to further advance its existing projects through development or offset drilling and to expand its portfolio to include additional property interests in the United States.

Some information in this document constitutes forward-looking statements or statements which may be deemed or construed to be forward-looking statements, such as the results of exploration and operations on the Coleman South Lease, the date for the start of initial drilling, the amount of wells which can be placed on the property and the anticipated size and depth of the wells. The words "plan", "forecast", "anticipates", "estimate", "project", "intend", "expect", "should", "believe", and similar expressions are intended to identify forward-looking statements. These forward-looking statements involve, and are subject to, known and unknown risks, uncertainties and other factors which could cause the Company's actual results, performance (financial or operating) or achievements to differ from the future results, performance (financial or operating) or achievements expressed or implied by such forward-looking statements. The risks, uncertainties and other factors are more fully discussed in the Company's filings with the U.S. Securities and Exchange Commission. All forward-looking statements attributable to Independence Energy Corp. herein are expressly qualified in their entirety by the above-mentioned cautionary statement. Independence Energy Corp. disclaims any obligation to update forward-looking statements contained in this estimate, except as may be required by law.

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